All Forum Posts by: Dwight Sands

Off topic but @Jon Holdman what do those loans typically look like if not 30 year fixed?

I've been starting to look into this too. @Aaron Wyssmann I like the idea of making sure they win before you do. It sounds like your deal was a flip, any suggestions on a held property? Also, how did you go about the loan on paper? I know there are some hurdles to clear to avoid the accredited investor requirements.

We know that a loan for a property with 4 units or less such as a quadplex will be considered a non-commercial loan and a property with more than 4 is commercial. But does that that come with stipulations? In particular a property for sale with say 5 houses on in it...does the fact that they are separate buildings make a difference or is it strictly about the unit number? My initial thought is no.

@Paul Timmins

"You might consider Niche or Specialized Housing like student housing. Rents can be 2-4 times more. Remember you don't have to own a property to control it."

The part about the student housing...is that right? I haven't heard of that before. In what capacity? Owning unit(s) in a college area or units specifically marketed to college students such as the complexes you see typically surrounding large universities?

@Bill G. My business is software development and its 13 years old (I really need to finish my profile). 

I currently have a SFR property but will be looking to expand in the next 6 months or so to another one or some type of multi unit.

Thanks guys for the feedback.

@Bill Gulley Thanks for the reply. When you said depreciation is added back in what exactly are you referring to? 

Refiling does not mean someone is cheating on their taxes, I just gave a reason for doing it. Deductions are optional remember and by being an S-Corp, there are lots of plausible deductions. But based on your reaction I can see where that could raise an eyebrow to someone. That's *probably what you are getting at.

I would have only done this for 2013 as I probably won't be buying anything new until next year. But seeing as 2014 isn't filed yet, refiling to adjust 1 year probably won't have too much of an impact anyway. I just like to look at all the possibilities.

It is good to know now so I can plan for the next return.

I'm working on some calculations for current and projected (next year) DTI ratio to see where I need to be for financing. I'm self-employed (for 2+ years) and as I understand it a lender will use the 2 most recent tax returns and take the average to calculate income. If so, which values? Adjusted Gross Income or Taxable Income?

Also, what are some opinions on refiling returns to show less deductions in the form of losses, expenses, etc. and paying the tax difference in exchange for more buying power?